Few people understand what strategy actually means. A course of action, which if well implemented, will give you a unique advantage over the competition is strategy. For example, most audit firms strategy is attain 80% revenue from consulting business and 20% from assurance (external audit work). Whereas there is money in auditing work, the fee note is usually restricted to utmost Ugx. 60 million (US $22,000). In Uganda, just like world over, external audit work is done to fulfill regulatory/ compliance requirements. The perception of value added is small! Successful audit firms get most of their revenue from consulting. They…
How to silence the lousy HR manager!
I submitted a proposal to the CEO for implementing a new strategic approach. Of course, most people are afraid of the change. Unfortunately, the proposal was delegated to the HR manager to liaise with me. And below is our exchange. HR manager: where else have you implemented the Playing To Win strategy? Me: “Do you mean you are a copycat? Strategy is unique for each company. You cannot get their strategy and use it in your business. However, if you insist, I will request the CEO (my client) to get in touch with you. I signed a confidentiality agreement and…
How to address a business proposal effectively
I used to think writing a business proposal to the Chief Executives of any company is the best appropriate method of getting business. It was not until my managing director at SCL, Mustapha B. Mugisa clearly explained what the concept of a business proposal. He asked, “How do you define a proposal?” A proposal is a conceptual agreement between the two parties involved. “From experience, if you are to write a good proposal that suits the customers ‘needs, it is always important to know what your client really wants. In most cases, we write proposals assuming that this is what…
Three measures to secure confidential data
During my conversation with my managing director, Mustapha B Mugisa, he asked, “what does confidential information mean to you?” The key investment any company has is its intellectual information. He added on that data security is important area of concern for the kind of business we do. As consultants, we collect a lot of confidential client data and it is our responsibility to keep it secure (confidentiality, intefity and availability). Information should only go to the intended persons. “As members of my team, I will able to trust you only if you do not leak out our intellectual property, our…
Corruption: Kenyan firms ranked #1 in East Africa
East Africa’s largest economy and the region’s preferred investment destination, Kenya, has been ranked number one in fraud and corruption tendencies in the region. According to a report by an International Audit firm, Ernst and Young one in every three Kenyan companies surveyed had paid bribes to win contracts. The survey conducted in 59 countries ranks Kenya behind Egypt, Nigeria and Namibia as economies where private sector corruption is most pervasive and distorting of tender award processes. According to the report, 27 per cent of the chief executives, financial controllers and internal auditors surveyed in Kenya cited high levels of…
Here is how the Human Resource Department kills businesses
You may need the HR department, yes, but not for hiring. The biggest mistake most companies make is delegating the hiring decision to HR. Most of the folks in HR think very high of themselves as most informed and intelligent. They are wrong. In most businesses, HR manager does not just support the hiring process, they make the hiring decision. That approach is very bad for business success. The final hiring decision should ideally be made by the CEO/managing director regardless of the size of the business. As CEO, it is your business to have a right team to deliver…
